Friday, May 29, 2009
Multiplier sprung a leak
Today's WSJ reports "Europe Listens for U.S. Train Whistle ... Europe's engineering and rail companies are lining up fo some potentially lucrative U.S. contracts for high-speed rail."I have been told numerous times that its the multiplier effect that matters. Forget about negative NPVs.
But what if we get neither? Multipliers do spring leakages when the spending is abroad.
